COLUMBUS Debate begins on allowing video slots at racetracks



Opponents say the bill is more about helping racetracks than the state.
By JEFF ORTEGA
VINDICATOR CORRESPONDENT
COLUMBUS -- Backers of a bill that would bring video slot machines to Ohio's horse racetracks say the proposal is a way to capture more money for the state and help save Ohio's struggling horse-racing industry.
Opponents, however, say bringing video slot machines to the tracks will only exacerbate problem gambling in the state and harm families.
Those views collided Thursday before the Senate Agriculture Committee as it opened hearings on the bill, sponsored by state Sen. Louis W. Blessing, Jr., a Cincinnati Republican.
The bill would authorize the state lottery commission to set up the video slot machines at Ohio's seven horse racetracks. Backers say the venture would net the state at least $500 million a year in additional revenue.
Blessing said Ohioans are flocking to gambling destinations in neighboring states and spending money that could be kept in Ohio if video slot machines are brought to the tracks.
The bill also drew support from representatives of two racetracks, Roderick H. Willcox, representing Scioto Downs, a harness- and thoroughbred-racing venue in Franklin County; and Jack Hanessian, the general manager of Cincinnati's River Downs. Hanessian said bringing the electronic devices to tracks would help retain customers, some of whom he said were traveling to riverboat casinos that are legal in neighboring Indiana.
Opponents' concerns
But gambling opponents on the committee questioned whether the bill was less about helping education and more about helping the racetracks.
The bill says 37.5 percent of the proceeds of video slot machines would be paid back to the racetracks for services and personnel to maintain and repair the buildings that would house the video slot machines.
An additional 10.5 percent of the video slot proceeds would also go to the racetracks to pay for any damage to the machines.
Under the bill, the remaining money would go to the state lottery, which helps fund public education.
According to the bill, a portion of the 10.5 percent of video slot proceeds paid to the tracks for repairs would go to the county in which the racetrack is located. Another portion would go to the city in which the racetrack is located.
If the racetrack isn't located in a city then that portion would go to the township, under the bill.
The bill would authorize between 1,800 and 2,000 video slot machines at each racetrack and would prohibit their use between 5 a.m. and 8 a.m.
An emergency clause in the bill would prevent Ohioans from placing the bill on the ballot as a referendum, if it's passed.
Criticism
Criticizing the bill was the Rev. John W. Edgar, chairman of the United Methodist Church of Ohio's Anti-Gambling Task Force, which represents 500,000 United Methodists in Ohio.
"Video slot machines are a highly dangerous and addictive form of gambling," Edgar said. "These machines are often referred to as the 'crack cocaine' of gambling."
"Video slot machines are so alluring and the speed of play is so fast that it is possible to gamble away an entire paycheck in a single hour," Edgar said. Some state officials, such as Blessing, have said the next two-year state budget that must be in place by July 1 is facing an unspecified deficit. Backers of video slot machines see the bill as a way to bring additional revenue to the state without additional taxes.
Opponents of the measure include Gov. Bob Taft, a Republican, who has said he'll veto it if it passes the Legislature. Secretary of State J. Kenneth Blackwell, State Treasurer Joseph T. Deters, State Auditor Jim Petro, and U.S. Sens. George V. Voinovich and Mike DeWine, all Republicans, have submitted written statements to the committee opposing or expressing concerns about the bill.
Senate President Richard H. Finan, a Cincinnati Republican, has said he anticipates a Senate vote on the bill before year's end. If passed, it would still have to be considered by the Ohio House.